<p>Morning Market Pulse: Trump Pushes Rate Cuts as Tech Earnings and Trade Truce Take Center Stage</p>

The pre-market mood is cautiously optimistic, with E-Mini S&P 500 Futures up 0.32% to $6,896.25 and Nasdaq 100 Futures surging 0.63% to $26,169.00, while the Dow’s 0.01% gain at $47,725.00 suggests sector divergence. Commodity moves are mixed: WTI crude dips 0.08% to $60.93, but gold ($4,020.10, +0.59%) and silver ($48.435, +0.57%) rally, hinting at inflation concerns and safe-haven demand. The Fed’s tightrope act—balancing rate cuts with inflation—looms large, alongside Trump’s aggressive policy push. Here’s what to watch today.

1. Trump, Bessent, and Miran Clash with Fed on Rate Cuts

U.S. Treasury Secretary Scott Bessent and Fed Governor Stephen Miran are sounding alarms about a housing-led recession, urging faster rate cuts to ease mortgage burdens. With the Fed’s December decision now in question, markets are bracing for a policy tug-of-war. A delayed cut risks deepening housing weakness, while an accelerated pivot could reignite inflation fears. The S&P 500’s pre-market pop reflects hope for a compromise, but volatility is likely if the Fed resists.

2. Supreme Court to Test Trump’s Tariff Power in IEEPA Case

The Court’s upcoming IEEPA ruling could redefine presidential economic authority. Trump’s 100% China tariffs, framed as national security measures, face constitutional challenges over executive overreach. A win for the administration would embolden further trade actions, while a loss could curb Trump’s leverage in global negotiations. The ruling’s summer timeline means markets will likely price in uncertainty until clarity emerges.

3. Tesla Shareholders Vote on $1 Trillion Musk Pay Package

Tesla’s (TSLA) shareholder vote on Elon Musk’s $1 trillion compensation package is a governance litmus test. While the board argues it aligns with long-term growth, critics call it excessive. Approval would cement Musk’s control amid AI and robotics bets, while rejection could signal a shift toward traditional governance. The vote coincides with key updates on robotaxi and battery tech, adding layers of strategic scrutiny.

4. Tech Earnings Spotlight AI-Driven Growth

Palantir (PLTR), AMD (AMD), and Qualcomm (QCOM) report Q3 results, with AI and data center demand in focus. Palantir’s recent $230 price target upgrade and AMD’s $8.76B revenue forecast highlight sector optimism. However, trade tensions and macroeconomic risks could temper enthusiasm. Strong guidance may buoy tech stocks, but shortfalls could trigger a reevaluation of AI valuations.

5. U.S.-China Trade Truce Eases Tariffs, Spur Agricultural Deals

A one-year suspension of U.S.-China port fees and resumed wheat purchases signal a fragile truce. While this eases shipping costs and stabilizes supply chains, deeper disputes over semiconductors and EV tariffs remain unresolved. The EU’s rare earth export suspension also tempers tensions, but long-term stability hinges on resolving structural trade imbalances.

6. UK Manufacturing Expands for First Time in a Year

The UK’s 49.7 PMI reading (up from 46.2) offers a glimmer of hope, driven by Jaguar Land Rover’s production restart. Yet weak demand for new orders and employment underscores fragility. Eased input cost inflation is a silver lining, but the sector remains vulnerable to global economic headwinds and domestic cost pressures.

Ticker Watchlist

• TSLA: Shareholder vote on Musk’s pay package and robotaxi updates.
• AMD/QCOM: Q3 earnings and AI-driven revenue guidance.
• PLTR: AI platform demand and price target upgrade validation.
• WBA/DE: U.S.-China trade truce impact on agricultural and commodity flows.

Analyst Summary

Market sentiment is split between optimism over AI-driven tech growth and caution about Trump’s policy risks. The Fed’s rate path remains pivotal, with housing and inflation tensions creating a tightrope. While the U.S.-China trade truce offers short-term relief, deeper structural issues linger. Analysts are watching for clarity on the Fed’s December decision and the Supreme Court’s IEEPA ruling, which could reshape economic governance.

Upcoming Economic Highlights

• Nov 3, 2025: U.S. and EU impose new sanctions on Russia over Ukraine. Military advances in Pokrovsk could escalate tensions.
• Nov 5–6: Supreme Court hears IEEPA case; Tesla’s shareholder vote.
• Nov 10: U.S.-China port fee suspension begins, easing shipping costs.

Markets will remain sensitive to geopolitical shifts and policy outcomes this week. Positioning for volatility is key as the Fed, Trump, and global trade dynamics collide.